Blue chips weaken

Published January 13, 2021, 3:56 PM

by Bernie Cahiles-Magkilat

The local stock market closed mixed with the index losing ground but more stocks gained as investors wait for more cues on where to go.

The main index dropped 15.26 points or 0.21 percent to close at 7,242.85 with only the Financials and Mining & Oil counters advancing.

Volume was steady at 17.08 billion shares worth P9.17 billion as gainers beat losers 131 to 105 with 37 unchanged.

“Philippine shares closed weaker as investors continued to bet on stimulus and COVID-19 vaccines to fuel a swift economic rebound,” said Regina Capital Development Corporation Managing Director Luis Limlingan.

Philstocks Financial Senior Analyst Japhet Tantiangco said “The PSEi’s sideways movement this Wednesday ended in the negative territory as investors booked profits from some of the index members.”

He noted that, “Funds went more into second liners and speculative stocks allowing the overall market to have a positive breadth.”

AAA Equities Head of Research Chris Mangun said “The PSEi ended slightly lower, mainly flat as investors took a ‘wait-and -see’ attitude. Minor gains in blue chip banks offset losses in large-cap property issues. Volatility on blue chips continue to die down while second and third liners remain extremely active. “

Mangun added that, “There is still a lot of uncertainty and we wont see the market go higher until we see more good news.”